Singapore: Manufacturing PMI rises in May
Latest reading: The Singapore Institute of Purchasing and Materials Management (SIPMM) Manufacturing PMI rose to 49.7 in May from 49.6 in April. As a result, the index remained below the 50.0 no-change threshold, but signaled a softer deterioration in manufacturing-sector operating conditions compared to the previous month. Similarly, the electronics PMI rose to 49.9 in May (April: 49.8), but remained below the 50.0 no-change threshold.
The latest PMI reading was attributed to a slower contraction in the key indexes of new orders, factory output, and employment. That said, the indexes of input purchases and imports posted a faster expansion rate: This indicates a nuanced recovery in the manufacturing sector, with certain areas showing signs of improvement amidst ongoing challenges.
Prices also played a significant role in the latest PMI readings as the input prices index posted a slower contraction. Looking at business sentiment, the future business index posted a faster contraction, suggesting that while input costs may be stabilizing, businesses are becoming increasingly pessimistic about future prospects amid broader economic uncertainties.